Land Prices

[aussiesteve63]

What is a good price for 4 rai of paddie

[jamescollister]

Location, title, water, road, elec and 101 othere things.

Like me asking what 4 acres is woth in OZ.

Now the big land price debate begins. Jim

[aussiesteve63]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

[nev]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

[jamescollister]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

You missed the big one Title. A lot of land in Thailand can not legally be sold, you may in fact just be giving Uncle/family money for nothing as they really don't own the land as it is crown farm land.

Are you in Thailand, if not don't bother buying land from afar. Jim

[nev]

Oh by the way answer to your question sounds a fair price to me, as has water and access, if power available another plus.

But what you have to watch out for is buying land for your tilac, that is already owned by the family, i have seen this happen but the falang was not aware that the land was already his tilac's dads land i did but could not tell him, all i said was do your research.

[David Peters]

You have to do a thorough sales analysis of recent sales in your area. Not what people are asking for, but what has been actually sold. And if you want it to continue as paddy land, then the sales must be from paddy to paddy and not from paddy and raised up to built a petrol station etc. These people will pay above a fair market price. In Yasothon province with good road access, recent sales have been about 80,000-100,000 baht/rai with existing paddy land continuing to be used as paddy land.

[rgs2001uk]

Oh by the way answer to your question sounds a fair price to me, as has water and access, if power available another plus.

But what you have to watch out for is buying land for your tilac, that is already owned by the family, i have seen this happen but the falang was not aware that the land was already his tilac's dads land i did but could not tell him, all i said was do your research.

Aint that the truth.

If I was the OP I wouldnt even consider buying the land, offer to lease it at 1,000 baht per rai per year with the first 10 years paid in advance.

How the above is answered may provide an insight as to continue with the relationship or not.

[THAIPHUKET]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

[rgs2001uk]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

^^^^^^ You are too well informed my friend.

Paddy fields that if lucky return 2000 baht per rai per year, landlocked, no thanks.

Probably take at least 45 years to get my money back, unless I can find another sucker.

No thank you, will give this once in a life time opportunity a miss.

[NeverSure]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

^^^^^^ You are too well informed my friend.

Paddy fields that if lucky return 2000 baht per rai per year, landlocked, no thanks.

Probably take at least 45 years to get my money back, unless I can find another sucker.

No thank you, will give this once in a life time opportunity a miss.

You got it. The world over, no matter where you are, if you buy for investment the net return has to justify it. Some people buy based on an expection of future price increases but that's like buying a lottery ticket. That's not an investment; that's gambling. Some really learned that the hard way in the past 5 years, at least in the US where prices have fallen about 40% and the market is in the tank. People were buying like crazy because prices were going up fast and they "assumed" they always would. There was a bubble and a crash.

The sole exception is buying a home where the return is a place to live. Even then it has to be within the price range of camparable sales in the area, and not where there has recently been massive price increases.

I will never buy a home or condo in Thailand. I'm not allowed to own the land and I'm not about to buy it for someone else who might leave me. I've heard too many bad outcomes there. I'd invest some work and money into improving an existing home, but I'll never spend more than I'm willing to lose. If someone thinks I'm going to spend tens of thousands of dollars building a home, especially for parents when I'll never own it he's nuts.

$.02

[TwoDogz]

Yes, its all about the rice.

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

Edited October 3, 2012 by TwoDogz

[nev]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

Sorry mate that is the going rate in the village i live, the 1 rai is not paddy land but fully titled land with good homes built all around and only 3 sois of the main rd ito khonkaen, i have no need to lie, there is not return on the 600,000 baht land it is purely sold as building land now as the village is growing very rapidly, my girlfriends brother just sold his 1 rai almost next to us for 600,000 baht that is what i am basing the price on, and no not sold to a falang but his uncle.

All land is not based on what you can get per rai for rice, my girlfriend has over 200 rai of farming land and only 10 rai is rice, mainly sugar cane and when no sugar down, cassava is planted.

[aussiesteve63]

The land I am purchasing is much the same,a stones throw from a prosperous

Village and with people moving back to the provinces I can only see land values

Rising

[nev]

The land I am purchasing is much the same,a stones throw from a prosperous

Village and with people moving back to the provinces I can only see land values

Rising

You cannot own yourself, you are buying for your tilac, so maybe an investment for her but not for you, if you are happy with that, go ahead as land prices here i some places are on the rise.

[jamescollister]

The land I am purchasing is much the same,a stones throw from a prosperous

Village and with people moving back to the provinces I can only see land values

Rising

Have you found out what type of land title, if not charnote then you can't buy it. The Crown owns it, anyone sells it to you is breaking the law.

Just as a warning, Thais will say any land with paper is charnote, but often it's not.

Are you and wife/girlfriend in Thailand to actually see the land and title.

If you are happy to give the money away fine, if not go see before you pay. Jim

[rgs2001uk]

The land I am purchasing is much the same,a stones throw from a prosperous

Village and with people moving back to the provinces I can only see land values

Rising

Have you found out what type of land title, if not charnote then you can't buy it. The Crown owns it, anyone sells it to you is breaking the law.

Just as a warning, Thais will say any land with paper is charnote, but often it's not.

Are you and wife/girlfriend in Thailand to actually see the land and title.

If you are happy to give the money away fine, if not go see before you pay. Jim

Jim, you are to be commended for your reply, there are however some people who you just cant help, heck they cant even help themselves.

The title doesnt really make any difference to the OP because he cant own it anyway.

Love this bit,

"The land I am purchasing"

The brutal reality is, the OP isnt purchasing anything, he may well be paying for the land, but once the deal is concluded the OP will have nothing.

Scenario right now, family has land and no money, farang has no land and money.

Scenario after purchase, family has land and money, farang has no land and no money.

[aussiesteve63]

Yes jim the land is charnote and I'm in aus but the wife is at home.Ive seen the

Land before and I think I got a good buy and so does the wife,she doesn't like

Parting with money even to family

[jamescollister]

Yes jim the land is charnote and I'm in aus but the wife is at home.Ive seen the

Land before and I think I got a good buy and so does the wife,she doesn't like

Parting with money even to family

As long as you are happy with the decision.

I'm not one to talk about the perils of buying land, I did, over 100 rai. Those who say don't spend more than you can afford to walk away from, are probably right most of the time. I spent every penny, but I went in with my eyes wide open and new what could happen. In real terms it made no difference, I have a Thai/OZ wife, 2 kids both born in OZ. If things went wrong they would get the lot, be it Thailand or Australia.

It worked for me, we retired to Thailand 3 odd years ago. No pension, no outside income. We live on what we earn here and we don't live too bad.Jim

[TwoDogz]

The land I am purchasing is much the same,a stones throw from a prosperous

Village and with people moving back to the provinces I can only see land values

Rising

You cannot own yourself, you are buying for your tilac, so maybe an investment for her but not for you, if you are happy with that, go ahead as land prices here i some places are on the rise.

I have made a profit thus far on 3 blocks of land I have owned here.

[nanapong]

Yes jim the land is charnote and I'm in aus but the wife is at home.Ive seen the

Land before and I think I got a good buy and so does the wife,she doesn't like

Parting with money even to family

As long as you are happy with the decision.

I'm not one to talk about the perils of buying land, I did, over 100 rai. Those who say don't spend more than you can afford to walk away from, are probably right most of the time. I spent every penny, but I went in with my eyes wide open and new what could happen. In real terms it made no difference, I have a Thai/OZ wife, 2 kids both born in OZ. If things went wrong they would get the lot, be it Thailand or Australia.

It worked for me, we retired to Thailand 3 odd years ago. No pension, no outside income. We live on what we earn here and we don't live too bad.Jim

Odds on it's a con job. In 12 years living in Thailand i've never heard of any Thai woman who doesn't like giving the farangs money to the family. The land already belongs to the family ... more or less certain.

[Riverman]

Since you don't read thai, first step would be to get a copy of the chanote emailed to you and then translated by an outside party. Then you will know in whose name the property is and what type of chanote title is it, transferable or not. If you do decide to go ahead to buy, spend some extra money at the land dept to get them to physically verifty that the land shown to you has the land perimeter markings as per the chanote. The idea is not that you are distrustful of wife's family but just that you want to be a careful buyer

[THAIPHUKET]

to have a new land survey done is mandatory, we found that 7 rai became 5.5. rai because the canal a road had been redrawn, no bad intend by the seller. Farmers are simply not trained to think in these terms. Only one meter off on your border line can amount to a substantial area.

land surveying is important also for a future sale.

A kilo is 1000gr , one rai must have 1600sqm, you pay 100, you want 100, that's what I had to teach my wife

[manxninja]

dreamers and men with fingers burnt abound.

just pay what you want for it , if it goes tits up so what you had a laugh.

dont think too mut as the thais say if your worrying about getting ripped off for a few feet of land, you wont have a long and happy time in thailand thats for sure.

chok dee

[jamescollister]

to have a new land survey done is mandatory, we found that 7 rai became 5.5. rai because the canal a road had been redrawn, no bad intend by the seller. Farmers are simply not trained to think in these terms. Only one meter off on your border line can amount to a substantial area.

land surveying is important also for a future sale.

A kilo is 1000gr , one rai must have 1600sqm, you pay 100, you want 100, that's what I had to teach my wife

If it is charnote it will have the land size and boundaries on the title deed. Jim

[how241]

to have a new land survey done is mandatory, we found that 7 rai became 5.5. rai because the canal a road had been redrawn, no bad intend by the seller. Farmers are simply not trained to think in these terms. Only one meter off on your border line can amount to a substantial area.

land surveying is important also for a future sale.

A kilo is 1000gr , one rai must have 1600sqm, you pay 100, you want 100, that's what I had to teach my wife

If it is charnote it will have the land size and boundaries on the title deed. Jim

I think they are starting to use GPS numbers now on the land boundaries. Do some google research on the 4 different types of land ownership papers. Only the true charnote is work buying.

[PattayaPhom]

The land is in Mahasarakham province, it has permanent water and no power

It' has a private road.the uncle is asking 350000 baht, is this a fair price.

Let the debate begin

Is it in the village or in the sticks, in the village where i live 1rai can fetch 600,000baht my gf sold one block 20m x 50m for 200,000 baht to a friend but told me worth at least 300,000 baht, out in the sticks just farming land can be had for as little as 20 to 40,000 baht a rai, and can pay way way more than that if good quality farm.

And what is a reasonable return on 350.000 , how many KG of rice?

The village mentioned above that is demanding 600.000b, consequently the yield in rice per rai must be about double of 350.000, Doesn't sound very likely to me.

^^^^^^ You are too well informed my friend.

Paddy fields that if lucky return 2000 baht per rai per year, landlocked, no thanks.

Probably take at least 45 years to get my money back, unless I can find another sucker.

No thank you, will give this once in a life time opportunity a miss.

So 1 Rai of land only produces 50kg of rice per year according to you.....If thats what youve experienced or been told I suggest you go research yourselfe.

[THAIPHUKET]

Sure, Jim,

only in our case the chanote had been superseded by subsequent events, no one had thought about that.

[rgs2001uk]

^^^^^^ You are too well informed my friend.

Paddy fields that if lucky return 2000 baht per rai per year, landlocked, no thanks.

Probably take at least 45 years to get my money back, unless I can find another sucker.

No thank you, will give this once in a life time opportunity a miss.

So 1 Rai of land only produces 50kg of rice per year according to you.....If thats what youve experienced or been told I suggest you go research yourselfe.

Who mentioned Rice?

Read what is written, not what you want to read.

As for research, head over to probably the most informed section of TV, the farming section, from the coal face experiences posted by members complete with Excel spreadsheets.

Seeing as you mention rice, whats your take on the rice pledge fiasco taking place right now?

Why is I see farmers from upcountry in the sois and moo baans of Bkk everyday trying to sell rice direct to the public rather than go thtough the rice barons upcountry?

Dont assume because this is Thailand its immune from external world wide market forces, have you seen the price of rubber lately?

What would you consider to be an average return per rai per year, clear profit?

[David Peters]

^^^^^^ You are too well informed my friend.

Paddy fields that if lucky return 2000 baht per rai per year, landlocked, no thanks.

Probably take at least 45 years to get my money back, unless I can find another sucker.

No thank you, will give this once in a life time opportunity a miss.

So 1 Rai of land only produces 50kg of rice per year according to you.....If thats what youve experienced or been told I suggest you go research yourselfe.

Who mentioned Rice?

Read what is written, not what you want to read.

As for research, head over to probably the most informed section of TV, the farming section, from the coal face experiences posted by members complete with Excel spreadsheets.

Seeing as you mention rice, whats your take on the rice pledge fiasco taking place right now?

Why is I see farmers from upcountry in the sois and moo baans of Bkk everyday trying to sell rice direct to the public rather than go thtough the rice barons upcountry?

Dont assume because this is Thailand its immune from external world wide market forces, have you seen the price of rubber lately?

What would you consider to be an average return per rai per year, clear profit?

I completely agree with the figures of rgs2001uk. Most rice farming in northeast Thailand is very marginal because of poor soils and unreliable rainfall which produces yields, on average, of only about 400 kg/rai.

Here are my rough figures.

Direct costs per rai.

Ploughing 300 baht, Fertiliser 1800 baht, Weeding 500 baht/rai, Harvesting and threshing 800 baht/rai, transport 400 baht/rai = 3,800 baht/rai

Yield and gross return 400 kg/rai @ 15 baht/kg = 6,000 baht/rai

Net return per rai

6000 - 3,800 = 2,200 baht/rai.

If the yields could be improved through better crop and water management to 500-600 kg/rai, then maybe, just maybe, a net return of over 5,000 baht/rai could be achieved.